for the way education is funds and spending billions on water through that, and the governor called on moving ahead on high speed rail, all this while saying law makers must still be prudent in the future. >> the governor is right. we need to focus on a rainy day fund. we need for focus on paying down debt. >> while he talks fiscal restraint, he talks about the volatility of the budget he just pushed a system of taxs that will make our system this much more volatile. >> the governor pointed out tenuous this balanced budget is. for example decisions by the federal government on healthcare could cost the state of california billions of dollars extra, threatening those surpluses. this evening we will have more on his speech, his plans and reaction. in sacramento, ken pritchett, ktvu channel 2 news. >> the 129th rescue wing is about to embark on a rescue mission. robert joins us with this report. >> reporter: claudine there is expected to be a lot of activity going on here today. most of it centered in this area behind me. the headquarters of the california air national guard 129th rescue wing.